By Daily Mail (U.S.) | Created at 2026-08-11 17:54:37 | Updated at 2026-08-11 18:23:35
57 minutes ago
New York City Mayor Zohran Mamdani is backing controversial legislation that could force Amazon and other delivery giants to directly employ thousands of drivers rather than relying on outside contractors.
Mamdani announced Monday that he supports the Teamsters-backed Delivery Protection Act, which would prohibit companies from subcontracting warehouse and last-mile delivery work, and require workers to be employed by the operator of the facility.
The bill, sponsored by New York City Council member Tiffany Cabán, targets Amazon's Delivery Service Partner model, under which independent companies employ drivers who deliver Amazon packages.
'Corporations like Amazon build billion-dollar business models by insulating themselves from accountability through a system of exploitative subcontracting,' Mamdani said.
He called the measure 'common-sense regulation' that would protect delivery workers and communities while forcing corporations to take responsibility for their business practices.
But Amazon and other opponents say the legislation could have a significant impact on jobs and delivery costs in New York City.
Amazon says it works with more than 40 local small businesses employing more than 5,000 people to make deliveries in the city, and warned that the bill could threaten those jobs and disrupt its delivery network.
Critics have also warned that forcing companies to bring delivery workers in-house could make deliveries more expensive for New Yorkers. One analysis cited by the New York Post estimated the measure could increase annual delivery costs for NYC households by an average of $664.
New York City Mayor Zohran Mamdani is backing controversial legislation that could force Amazon and other delivery giants to directly employ thousands of drivers rather than relying on outside contractors
Amazon says it works with more than 40 local small businesses employing more than 5,000 people to make deliveries in the city, and warned that the bill could threaten those jobs and disrupt its delivery network
The bill, sponsored by City Council member Tiffany Cabán, targets Amazon's Delivery Service Partner model, under which independent companies employ drivers who deliver Amazon packages
The legislation is now before the City Council, setting up a potentially showdown between Mamdani, Amazon and the small businesses that make up the company's delivery network.
Opponents of the legislation are also stepping up their campaign, warning that it could put thousands of delivery jobs and small businesses at risk while driving up costs for New Yorkers.
The New York Delivers coalition said its members will gather at Thomas Jefferson Park to argue that Intro 518 threatens as many as 10,000 delivery jobs across the city.
The group estimates that around 3,500 last-mile delivery jobs could be at risk in Harlem and four adjoining City Council districts alone.
The coalition said 82 percent of the city's last-mile delivery workforce does not have a college degree and 84 percent is non-white, arguing that the legislation could disproportionately affect workers who rely on these jobs.
Delivery workers and small-business owners are expected to speak at the event about how they believe the bill could threaten their livelihoods.
The opposition rally comes as supporters of the Delivery Protection Act are also increasing pressure on the City Council, setting up a clash over legislation that could fundamentally reshape the subcontracting model used by Amazon and other companies to make last-mile deliveries in New York City.
Even city officials have urged caution over the measure, warning that it could have unintended consequences.
Critics have also warned that forcing companies to bring delivery workers in-house could make deliveries more expensive for New Yorkers
The fight also comes as Mamdani faces criticism over another measure aimed at boosting pay for delivery workers that critics say could ultimately make food delivery more expensive for New Yorkers
'We want to make sure we don't have unintended consequences,' Carlos Ortiz, deputy commissioner of external affairs for the Department of Consumer and Worker Protection, said at an April City Council hearing.
The fight also comes as Mamdani faces criticism over another measure aimed at boosting pay for delivery workers that critics say could ultimately make food delivery more expensive for New Yorkers.
Mamdani has been promoting a law requiring delivery apps to make tipping options more prominent after the legislation was passed by the City Council last year but not signed by his predecessor, Eric Adams.
The city's Department of Consumer and Worker Protection had accused Uber Eats and DoorDash of using hidden tip buttons and defaulting gratuity to 10 percent.
Mamdani has claimed the practice caused tips for drivers and other delivery workers to fall by 79 percent.
He said the new rules had helped put $104 million back into delivery workers' pockets during the first six months of the year.
'This is only the beginning,' Mamdani said.
But critics have questioned how the mayor's efforts to increase compensation for delivery workers fit with his affordability agenda, arguing that higher labor costs could ultimately be passed on to customers.
'Is Zohran Mamdani really bragging about making Uber Eats and DoorDash more expensive for New Yorkers?' one critic wrote online. 'I guess his 'affordability' agenda doesn't extend to New Yorkers who order in takeout.'
